Gasoline

Gasoline Moves Lower to $2.35 Per Gallon

The national average price of regular unleaded fell 4 cents to $2.35 per gallon for the week ending May 8, as a result of "an unseasonable glut of gasoline in the U.S. market," according to AAA.

The price is now 4 cents lower than a month ago and 14 cents lower than a year ago. In the past week, the average price in 46 states fell, including some by as much as 9 cents. The decline in prices is also a result of record high refinery production rates, moderate demand, and a recent drop in crude oil prices, according to AAA's weekly fuel report.

The average fuel economy of new vehicles sold in the U.S. in December fell to 25 mpg — down 0.2 mpg from a revised November value, according to Brandon Schoettle and Michael Sivak, researchers from the University of Michigan's Transportation Research Institute (UMTRI).

The national average price of unleaded gasoline jumped 5 cents to $2.49 per gallon in the first week of 2018 and has reached a level not seen since 2014 during the week that starts the new year, according to AAA.

China is setting a deadline for automakers to end the sale of fossil-fuel powered vehicles as the country looks to reduce oil consumption and pollution and push for the development of electric vehicles. Regulators are working on a timetable for the ban.